Determining how much you should rent your Waco rental home for isn’t as straightforward as it may seem. With the real estate market here in Central, TX – and across the country – at an all-time high, and various other factors that need consideration, more goes into determining the perfect rent amount than ever before. Here are some simple tips to help you navigate what to charge for rent this year and beyond:
Determine how much your rental home is worth.
The value of homes within Waco, TX – and nationwide – continue to increase. When price tags on homes rise, the amount to rent them rises as well. Though there are many ways to determine the value of your rental home, one sure-fire way to figure out just how much it is worth is by having it appraised. This way, you can determine the home’s value – using that as a guide to set rent. Many landlords choose to rent their property for around 1% of the total market value, but that depends on many other factors, like comparable properties rented within the same area and the length of the lease agreement.
- How much are comparable properties renting for in your neighborhood?
When researching how much other rental properties are charging within your area, you should limit your search to homes that are comparable in size, amenities, and overall condition. Failure to do so could cause you to set the rent for your Waco, TX rental home too high or too low – making it difficult to attract and retain quality tenants. While you can use various online tools to determine the price of comparable properties, speaking with a realtor or property management company is usually best.
- How to set the length of your lease agreement?
Figuring out how much to charge for rent is a far different process if you rent to a student near Baylor University or a family in the suburbs. With a rental home near Baylor, you may have to consider month-to-month options, six-month options, or nine-month options and consider the number of students living within the home. While the exact terms may apply to a family home further from downtown, you typically deal with a standard year (or more) rent in a more residential area.
Hire a property manager to help.
Let’s face it – being a landlord is no easy task. Whether it be figuring out the right amount to charge for rent, collecting rent, finding tenants, or answering maintenance calls, many landlords find that hiring an experienced property management group helps limit their stress while maximizing their home’s value and revenue potential. Best of all, your property manager can help market your property and screen tenants, making the process of renting your Waco, TX home a breeze.
Real Property Management Talent is committed to your success.
We are a locally owned and operated property management company in Waco, TX. We have over 30 years of experience and the skills and resources necessary to make your investment property continue to grow. To learn more about the comprehensive services we offer, feel free to contact us today: 254-651-0576. We look forward to hearing from you!
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
